Broadcom Partners with Canonical and Walmart to Boost Cloud Computing Capabilities and AI Innovation

Broadcom (AVGO) and Canonical have expanded their collaboration to support customers in shipping modern container-based and AI applications faster and more securely. The partnership combines Canonical's open-source software with VMware Cloud Foundation, aiming to reduce costs and risks. Broadcom has also partnered with Walmart to deliver a modern private cloud and edge environment, leveraging VCF to unify Walmart's operations. Broadcom has reported strong Q2 results, with over $15 billion in total revenue, up 20%, and over $6.6 billion in software revenue, up 25%. The company's AI revenue growth is expected to accelerate to 50-60% for FY25 and FY26.

Broadcom Inc. (AVGO) and Canonical have expanded their partnership to support customers in shipping modern container-based and AI applications faster and more securely. This collaboration combines Canonical's open-source software with VMware Cloud Foundation (VCF), aiming to reduce costs and risks. Additionally, Broadcom has partnered with Walmart Inc. (NYSE: WMT) to deliver a modern private cloud and edge environment, leveraging VCF to unify Walmart's operations.

The expanded collaboration was announced at VMware Explore 2025, where Broadcom and Canonical highlighted the benefits of integrating Canonical's trusted open-source software with VCF, the industry's first unified private cloud platform. By doing so, customers can improve developer efficiency, manage security risks, and simplify AI workload deployment [1].

Canonical's Ubuntu OS and chiseled containers, optimized for popular language runtimes like Python, .NET, and Go, will be integrated into VCF. This integration will provide enterprise-grade support, expedited security patch management, and optimized resource consumption. Precompiled GPU drivers in Ubuntu images will also simplify AI deployments in air-gapped environments, further reducing dependency on external repositories and Internet access [1].

Broadcom's strong Q2 results underscore the company's continued growth and innovation. The company reported over $15 billion in total revenue, a 20% increase year-over-year, and over $6.6 billion in software revenue, a 25% increase. The company's AI revenue growth is expected to accelerate to 50-60% for FY25 and FY26 [2].

In a separate announcement, Broadcom and Walmart have entered a strategic collaboration to deliver a modern private cloud and edge environment using VCF. This partnership aims to enhance Walmart's operational efficiency, improve the shopping experience, and accelerate the development and delivery of innovative services. Broadcom will help Walmart achieve enhanced agility and scalability, as well as reduced operational complexity [3].

References:
[1] https://news.broadcom.com/releases/vmware-explore-2025-canonical-vcf
[2] https://www.opensourceforu.com/2025/08/broadcom-and-canonical-expand-open-source-partnership-to-power-vmware-cloud-foundation-for-secure-ai-and-container-innovation/
[3] https://news.broadcom.com/releases/vmware-explore-2025-walmart-vcf